China’s export of railway equipment surges

China exported 26.77 billion yuan ($4.36 billion) worth of railway equipment last year, surging 22.6 percent year on year, according to data from the General Administration of Customs (GAC).

In December alone, the export value came in at 2.81 billion yuan, a surge of 42.3 percent from the same period a year earlier.

GAC spokesman Zhang Guangzhi attributed the rapid growth to China’s manufacturing competitiveness in the sector as well as domestic firms’ efforts to tap the global market.

So far, China has exported its railway technology to more than 30 countries and regions, including ASEAN countries, Argentina, Australia and the United states.

The overseas march was mainly led by state-owned firms, with their exports accounting for around 70 percent of the total value, according to the GAC data.

Although a latecomer to the field, Chinese railway equipment companies have thrived due to cost advantage and shorter delivery time.

According to German transportation consultant firm, SCI Verkehr, China North Railway and China South Railway, two industry leaders, currently hold the lion’s share of the world’s HSR market, with their sales revenue equal to the other five top companies combined.